SeaHound:
In PADI Peak performance Buoyancy chapter they teach you that proper weighting means that with a totally deflated BCD, you should be in floating at the surface eye level!
How the hell do you sink then? You cant further deflate the BC cuz there is nothing in it. Furthermore what is the purspose of a BC jacket if you can float with a deflated one.
Because you will be floating at eye level while holding a normal inhale's worth of breath in your lungs.
Keep in mind that when you go underwater, you take two BCD's with you ... the one on your back and the one that you were born with (your lungs).
The external one holds more air than the internal one, so you can think of your BCD as "coarse adjust" and your lungs as "fine adjust".
Your lungs will typically provide 6-8 lbs of buoyancy difference between a full inhale and a full exhale. You only need one or two lbs of negative bouyancy to sink. So with air in your lungs, you should only be carrying enough weight to provide a slight amount of negative buoyancy when you completely exhale. And, as Mike said, you will need to add a few extra lbs to adjust for the fact that your cylinder will become more bouyant as you use the gas inside of it.
Ideally, the weight check you describe should be done with only 500 psi in your cylinder, since that's typically your target for reserve at the end of the dive.
The purpose of the BCD is two-fold ... to float you comfortably during surface swims, and to compensate for buoyancy changes as you descend and ascend. Remember that as you go deeper, if you change nothing at all, you will become more negatively buoyant due to pressure changes. As you ascend, changing nothing at all, you will become more positively buoyant. Your BCD gives you the ability to compensate (the C in BCD) for buoyancy changes due to pressure ... you add short bursts of air as you go deeper, and release short bursts of air as you go shallower.
This all should have been covered in your OW class ... if it doesn't make sense, I would recommend that you sign up for a performance buoyancy class. The concepts are fundamental to everything you will do as a diver, and you'll have a lot more fun in the water if you have a solid understanding not only of what's going on, but why ...
... Bob (Grateful Diver)